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BRK-B vs HSBC

BRK-B
Berkshire Hathaway Inc.
NEUTRAL
Price
$479.75
Market Cap
$1.03T
Sector
Financial Services
AI Confidence
85%
HSBC
HSBC Holdings plc
NEUTRAL
Price
$89.96
Market Cap
$311.7B
Sector
Financial Services
AI Confidence
85%

Valuation

P/E Ratio
BRK-B
15.46
HSBC
14.99
Forward P/E
BRK-B
22.06
HSBC
9.62
P/B Ratio
BRK-B
0.0
HSBC
6.95
P/S Ratio
BRK-B
2.79
HSBC
4.93
EV/EBITDA
BRK-B
-2.12
HSBC
--

Profitability

Gross Margin
BRK-B
26.15%
HSBC
0.0%
Operating Margin
BRK-B
32.96%
HSBC
55.23%
Profit Margin
BRK-B
18.03%
HSBC
35.25%
ROE
BRK-B
9.81%
HSBC
11.62%
ROA
BRK-B
5.11%
HSBC
0.74%

Growth

Revenue Growth
BRK-B
-0.7%
HSBC
58.4%
Earnings Growth
BRK-B
-2.5%
HSBC
2397.9%

Financial Health

Debt/Equity
BRK-B
0.19
HSBC
--
Current Ratio
BRK-B
7.07
HSBC
--
Quick Ratio
BRK-B
6.62
HSBC
--

Dividends

Dividend Yield
BRK-B
--
HSBC
4.17%
Payout Ratio
BRK-B
0.0%
HSBC
55.0%

AI Verdict

BRK-B NEUTRAL

The deterministic health profile is weak, highlighted by a Piotroski F-Score of 3/9, indicating deteriorating operational efficiency and profitability trends. While the company maintains a fortress balance sheet with a Debt/Equity ratio of 0.19 and a Current Ratio of 7.07, the stock is trading at a significant premium to its growth-based intrinsic value of $217.21. Negative YoY revenue and earnings growth, coupled with a bearish technical trend, offset the positive analyst sentiment and long-term historical performance.

Strengths
Exceptional liquidity with a Current Ratio of 7.07
Very low leverage (Debt/Equity 0.19)
Strong operating margins at 32.96%
Risks
Significant overvaluation relative to intrinsic value ($479.75 vs $217.21)
Negative YoY earnings growth (-2.50%) and revenue growth (-0.70%)
Weak Piotroski F-Score (3/9) suggesting declining financial health trends
HSBC NEUTRAL

HSBC presents a contradictory profile, anchored by a weak Piotroski F-Score of 2/9 which indicates significant fundamental health concerns. While the stock shows explosive YoY revenue and earnings growth, this is offset by a poor earnings track record with an average surprise of -52.96% and a bearish technical trend (10/100). There is a massive valuation gap between the Graham Number ($41.8) and the growth-based Intrinsic Value ($177.0), suggesting the current price of $89.96 is speculative. Despite these risks, the dividend profile remains stable and the forward P/E is attractive.

Strengths
Exceptional YoY Revenue Growth (58.40%)
Strong Profit Margin (35.25%) and Operating Margin (55.23%)
Attractive Forward P/E Ratio (9.62)
Risks
Critical fundamental weakness indicated by Piotroski F-Score (2/9)
Consistent failure to meet earnings estimates (1/4 beats, -52.96% avg surprise)
Severely bearish technical trend (10/100)

Compare Another Pair

BRK-B vs HSBC: Head-to-Head Comparison

This page compares Berkshire Hathaway Inc. (BRK-B) and HSBC Holdings plc (HSBC) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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